Currently viewing: Business model / Next: Results summary for the year
The Group has a decentralised business model with three principal operating divisions (Technology Distribution â€“ Westcon-Comstor; Integration and Managed Services â€“ Logicalis; Consulting and Financial Services â€“ Analysys Mason and Datatec Financial Services) that are managed as standalone businesses.
ICT supply chain overview
The diagram above illustrates Datatecâ€™s role in the ICT supply chain. The spread of business activities across distribution, integration and consulting provides the Group with multiple entry points to the global market, and acts as a defensive measure against adversity in any one vendor, geography or technology.
The Groupâ€™s operating divisions act as industry intermediaries in the ICT supply chain, enabling IT users to gain access to a broad range of advanced technology solutions and professional services in order to implement and maintain secure complex IT networking, unified communication, cloud and data centre infrastructures.
The Group has strategic partnerships with leading technology vendors who outsource specific elements of the supply chain such as distribution, logistics and marketing to value-added distributors like Westcon-Comstor. In addition, vendors also rely on resellers and system integrators like Logicalis to address the highly fragmented end-user customer base who require technical expertise to identify and install complex systems, critical solutions and managed services. The Groupâ€™s consulting and research division not only consults to vendors but also to public and commercial enterprise customers, telecoms, media and technology providers. Datatec Financial Services provides financial solutions and services to end-user customers, partners and manufacturers of Datatecâ€™s operating divisions.
The business model empowers its divisional management teams to make operational decisions that are best suited to their individual operating needs but within a strategic operating and financial framework set by the Group. The pure-play nature of each operating division also facilitates enhanced operational and financial performance as well as the ability to react faster to technology changes.